The Effect of Management Capabilities in Implementing Good Corporate Governance: A Study from Indonesia Banking Sector
| Autor: | Ina Primiana, Devy M. Puspitasari, Sotarduga Napitupulu, Sulaeman Rahman Nidar, Nury Effendy |
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| Rok vydání: | 2020 |
| Předmět: |
Economics and Econometrics
Process management Corporate governance media_common.quotation_subject 05 social sciences Context (language use) Banking sector Management Information Systems Test (assessment) Variable (computer science) 0502 economics and business Sustainability 050211 marketing Quality (business) Business Dynamic capabilities 050203 business & management Finance media_common |
| Zdroj: | The Journal of Asian Finance, Economics and Business. 7:159-165 |
| ISSN: | 2288-4645 2288-4637 |
| DOI: | 10.13106/jafeb.2020.vol7.no1.159 |
| Popis: | The study attempts to examine the effect of the capabilities of banking companies, namely the dynamic and unique capabilities, on the implementation of GCG in Indonesia. The effect of organization capabilities on the implementation of GCG is essential since both of them can demonstrate the quality of the company's ability to compete and innovate. This study will also examine the influence of moderating variables, namely the fit and proper test. The methodology used in this study is the structural equation methods and using primary data with board of directors of commercial bank in Indonesia. The test results suggest the positive direct effect of unique capabilities on GCG. The findings show that the capabilities of the top management, both unique and dynamic capabilities, influence the implementation of GCG. Then, the variable of fit and proper test can also strengthen the relationship between them. Both unique capabilities and fit and proper test have a strong and positive impact on GCG. Meanwhile, dynamic capabilities have a negative impact on GCG even though it’s not significant and contradictive with earlier studies. In the context of the banking industry growth and sustainability, this matter is important to examine. Top management behavior in operating their organization is important to be investigated. |
| Databáze: | OpenAIRE |
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